Aerial Battle of Taiwan-Okinawa (Formosa Air Battle)
http://en.wikipedia.org/wiki/Aerial_Battle_of_Taiwan-Okinawa

Artist's commentary:

(Telephone game)
1) “Um, our squadron torpedoed an obscure silhouette like a carrier. We saw a column of fire when we looked back.”
2) “Our navy torpedoed enemy's ships like carriers and damaged them.”
3) “Remarkable military gains. The enemy's carriers were hit and sank. Columns of fire on the sea were reflected in the sky.”

...(facepalm)

Actually, the Imperial Japanese Navy's actual military gains were only the severe damage of the USS Canberra and the USS Houston , and the small damage of the USS Hancock .